The actual taxes charged will reflect the applicable state and local sales taxes and will be calculated before your order
is shipped.

To be clear, the Internet Tax Freedom Act (ITFA), which was signed into law on October 21, 1998, does not, as some have
asserted, preclude sales and use taxes on any and all commerce conducted over the Internet. State and local governments
are allowed to impose sales and use taxes on all such electronic sales, provided that the tax (and its rate) are the same
as that which would be imposed on the transactions if they were conducted in a more traditional manner, such as over the
phone or through mail order.

The ITFA is intended to prevent any jurisdiction from imposing special taxes on Internet transactions, other than such
taxes that a jurisdiction already has the ability to impose (e.g., sales tax; see below). The ITFA prevents the imposition
of any such taxes through November 1, 2003.

Currently, most e-commerce companies use the same taxation rules used by mail-order companies, which are based on
constitutional guidelines for interstate commerce. Generally this means that states can only require companies to collect
sales tax in states where they have business operations, and as a result, a company will not collect sales tax in states
where they have no business operations. If someone were to order something from one of our catalogs, that person would
only be charged sales tax if he or she shipped his or her order to a state where Beauty Nail Supply has physical operations.
Example: If a person shipped something to Wisconsin, Beauty Nail Supply would not be required to collect sales tax because
it has no business operations in Wisconsin. Therefore, we do not collect tax for orders shipped out of Texas.

The ITFA also prohibits state and local governments from imposing taxes on Internet access charges, protects against the
imposition of new tax liability for consumers and vendors involved in commercial transactions over the Internet and creates
a temporary commission to study taxation of Internet commerce and to report back to Congress in 18 months on whether the
Internet ought to be taxed and, if so, how taxes can be applied without subjecting the Internet and electronic commerce to
special, discriminatory, or multiple taxation.

To establish your account (in Texas Only) as tax exempt, we must have a copy of your tax exemption on file.